Kenya Hikes Wheat Producer Prices Amid Global Supply Pressures
The Kenyan government has announced a significant increase in wheat producer prices to KES 5,100 per 90kg bag for the 2026 agricultural season. This move aims to shield local farmers from rising input costs and ensure domestic food security.
Agriculture Cabinet Secretary Mutahi Kagwe emphasized that the new price is a result of multi-stakeholder consultations and will directly benefit over 2,000 commercial wheat farmers in six counties: Narok, Nakuru, Meru, Laikipia, Nyandarua, and Uasin Gishu.
The decision to hike producer prices comes amid global supply pressures, with Kenya historically importing more than 80% of its annual wheat requirement. By elevating the local procurement price, the government aims to insulate the domestic economy from imported inflation and reduce foreign exchange drain required for massive grain imports.